Australia – Unemployment Rate
On Thursday, at GMT 1:30 a.m., the Australian Bureau of Statistics will release the national unemployment rate. It measures the percentage of total work force which remained unemployed over the past month.
Binary options investors consider the unemployment rate to be one of the most important fundamental indicators of the Australian economy. It is because one of the main goals of the Reserve Bank of Australia is to keep the unemployment as low as possible. Although this is a lagging indicator, analyzing this data can help Forex traders predict future interest rates and inflation situation in the country.
Last month, the unemployment rate in Australia came out at 5.3%. This month, analysts are expecting it to remain unchanged at 5.3%.
Switzerland – Producer Price Index (PPI)
On Thursday, at GMT 7:30 a.m., the Swiss Federal Statistical Office will release the month-over-month Producer Price Index (PPI). It measures the changes in the price of goods and raw materials bought by Swiss manufacturers during the previous month.
Binary options traders consider the Swiss Producer Price Index (PPI) to be a leading indicator of the consumer inflation. Because any substantial increase in the raw materials is passed on to the buyers of the finished products by manufacturers. Hence, an increase in PPI indicates rising prices at the consumer level, which contributes to overall national inflation.
Last month, the Swiss PPI (m/m) increased by 0.1%. The forecast for this month says that it will likely remain unchanged at 0.0%.
Since forming a bearish pin bar on May 22, 2018, the AUD/CHF remained highly bearish. Over the last several months, it fell by around 700 pips and broke below a number of major support levels. Currently, it is trading around the 0.6900 level, just below the major pivot zone around 0.6950.
The Swiss Producer Price Index (PPI) reading will likely remain the same compared to last month at 0.0%. Similarly, analysts are expecting the Australian unemployment rate to remain unchanged at 5.3% as well. Given directional parity, the current bearish momentum will likely dictate the directional movement of the AUD/CHF this week. Therefore, if the AUD/CHF remains below the resistance near 0.6950, it would likely attract additional bearish momentum in the market.
Hence, Australian binary options traders should look out for trading opportunities below this major support level around 0.6950.
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